Blackstone swooped on regulation-weary GE to do mega real estate deal

April 10, 2015 11:20 PM

63
0

April 10 (Reuters) - It took Blackstone Group LP less than four weeks after an approach from General Electric Co to clinch the biggest real estate deal since the financial crisis. Yet the seeds of that deal were planted seven years ago, during the crisis.

After the Wall Street meltdown, U.S. regulators slapped rules on banks and other financial institutions aimed at curbing their risk taking. These requirements, including more burdensome capital requirements and the hiring of additional compliance staff, have raised the costs of real estate investing...